The David J. Joseph Company

Audubon Metals

SHV

Brokerage Representatives

Founded in 1885 Evolved from dealer to full-service broker Family-owned until 1975 sale to SHV, a global

company with diverse energy and distribution activities based in Utrecht, The Netherlands

DJJ organization Brokerage offices Ferrous/Nonferrous operations Mill services Centralized staff support Transportation Service Division

Overview of DJJ

DJJ Background

The USA’s largest and oldest metal recycler Operates 12 domestic and international brokerage

offices and more than 30 scrap processing and mill service facilities (includes 11 auto shredders)

Employs 1200 people, including 50-55 full time ferrous brokers and scrap buyers

Is financially sound Sales of US $1.5 - 2.0 billion 5A1 D&B rating US $350+ million assets Strong equity base, minimal debt

Jeff Davis, St. Louis District Manager

Guiding Principles

Long-term relationship (vs. transaction) orientation Customer orientation (buyer drives the market) Managed risk (not speculation) Integrity Financial strength Grass roots coverage of markets Focus on service & information Cooperation and communication Flat, simple organization Developed In-House Training Program

DJJ Metallurgist at work at Nucor Hickman.

The David J. Joseph Company

Executive Office

Brokerage Offices

Processing Operations

Mill Service Facilities

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TSR (Affiliate) Duisburg, Germany(includes ~60 European processing plants)

Industrial Services (Gemini)

The David J. Joseph Co.

River Metals Recycling

Trademark Metals Recycling

Western Metals Recycling

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Rail Services

Audubon Metals (Affiliate)

Brokerage Representatives

What is the Job/Role of Ferrous Broker Travel extensively Analyze market trends Purchase/Negotiate the price of scrap

metal Arrange the transportation of material

purchased: rail car, truck, barge, or vessel Sell the scrap metal and position the

material against the most profitable sales Manage the A/R, profit/loss, etc.

DJJ’s Role

Steel Mills Foundries

DJJ

Scrap Yards Industrial Railroads Demo

What is Scrap Metal?

Modes of Transportation

Scrap Metal is then recycled

Finished Products

Developing new sources of metallics Imported scrap Low residual (prompt) scrap Pig iron DRI & HBI

Orderly re-orientation of scrap flows, esp. export Expanded trading staff Collaboration with TSR to develop an international

position Use of LLC vehicle for new activities with partners

New and Ongoing DJJ Initiatives

Additional shredding capacity (West, Southeast, and Midwest)

Utilizing Joseph Transportation’s private fleet

Rail services Developing other transportation alternatives Maximizing value of NF (esp. aluminum) shredder

products Industrial scrap management (Gemini)

DJJ Initiatives (con’t)

Incorporating Enterprise Resource Planning (ERP) To lower costs Improve customer service Support eCommerce Implement continuous improvement

Integrating best-in-class eBusiness services with DJJ’s business systems to provide supply chain optimization for the scrap and steel industries

DJJ Initiatives (con’t)

Marketing the DJJ “Brand”

DJJ’s limited trade advertising focuses on the company’s core values...

What do we look for?

Brokerage Representatives

Brokerage Representatives

                     

What do we look for?

Well-rounded Aggressive Out-going Team Oriented Flexible Entrepreneurial

The David J. Joseph Company

Audubon Metals

SHV